Very worrying stop press news re Anglo Irish

savemoney

My MIL has about 30k in PO bonds which mature sin June 09, hope its safe

Keentosave_3

I'm confused!
Does all this doom and gloom apply equally to PO Bonds (Bank of Ireland).
And is it true funds can be withdrawn from the PO with interest to date?

gozomark

Keentosave wrote: »

I'm confused!
Does all this doom and gloom apply equally to PO Bonds (Bank of Ireland).
And is it true funds can be withdrawn from the PO with interest to date?

yes, and apparently yes

jack_spratt_2

Keentosave wrote: »

I'm confused!
Does all this doom and gloom apply equally to PO Bonds (Bank of Ireland).
And is it true funds can be withdrawn from the PO with interest to date?

Posters have reported that the Post Office have been paying out the full amount!!
The terms and conditions are different for the Post office bonds as it states that you can take your bond out subject to a breakage fee( which they were not charging) They give the formula to work out the breakage fee so it was clear from the start.

The Bank of Ireland (Post Office) is not covered by the FSA protection scheme as well

JamesJames101

gozomark wrote: »

They have written the guarantee into law so how could they?

the risk is they rewrite the law - after all its an Irish law, to be upheld in Irish courts - countries have walked away from their obligations before - I really don't think they would (the long term implications for Ireland would be massive) , but they could

It is unusual to make legislation retrospective - otherwise there would be no legal certainty! The government could remove the guarantee going forward and ahead of when due to cease - but imagine the run on funds that would cause so extremely unlikely - and why would they do it?

Amazing times we are living in where you have to even think about how secure your money is when you lend it to a major western government!

castle96

MELBURY
write the letter/lie through your teeth so that it is convincing. Then you have tried everything, will hopefully succeed in getting your funds back, and be able to stop worrying

Andrew64

You could also mention that you don't like having your money in a bank that seems to have engaged in illegal actions. But I don't know how that would be received.

http://news.sky.com/skynews/Home/Business/Anglo-Irish-Bank-In-Fraud-Raid-Officers-Scour-Dublin-Headquarters-Of-Scandal-Hit-Nationalised-Bank/Article/200902415228702?lpos=Business_Top_Stories_Header_1&lid=ARTICLE_15228702_Anglo_Irish_Bank_In_Fraud_Raid%3A_Officers_Scour_Dublin_Headquarters_Of_Scandal_Hit_Nationalised_Bank

Fraud squad officers and corporate crime investigators have raided the headquarters of the Anglo Irish Bank in Ireland.

The Garda were understood to be searching the St Stephen's Green offices in central Dublin for books, documents and other materials which could provide evidence of any offences under company law. Anglo Irish Bank was nationalised last month after the share price plummeted amid a wave of controversies. These included a loans-for-shares scandal, revelations about secret loans to former chairman Sean Fitzpatrick and a multibillion-euro deposit from an apparent rival bank to boost its books.

Mr._H_2

Uh-oh:

Fraud search at Anglo Irish Bank

Edit: Andrew beat me to it!

tazza78

Hi,
I have £47,000 in a bond with Anglo Irish matures in Jan. 2010. I have read some of the comments on this forum and mostly it is doom mongering. I for one am not going to ask for my money back when it is being paid a handsome rate of interest. I also am not in the least bit concerned by the safety of my money. First of all people, lets not forget that the Irish state is AAA rated, albeit with negative implications. Many people's bonds on this forum run out before the end of the year, so the though of a AAA rated country going bust before the end of the year is, whilst not impossible, for fetched. So if you're that concerned take your money out when it expires,
Ireland is also a member of the European Monetary Union to which comparions with Iceland really cannot be comparable.
Anglo Irish itself was a poorly ran institution, but it is now in the hands of the Government, not a private institution.
Credit swaps on Irish bonds recently went under 400 bps, Ukranian debt is at about 3400 bps, and they are still kicking, they have not yet defaulted. UK and United States default swaps are on the rise too. Ireland is no doubt in a precarious situation with its economy, but the government is now making the necessary spending cuts in order to keep it's AAA rated status.
Seriously guys, I would rather have my money in Ireland than many other countries right now.

castle96

let'shope we are all unjustified in our fears then Tazza